UPS Lowers 2Q Earnings Expectations

Discussion in 'UPS Discussions' started by speeddemon, Jun 24, 2008.

  1. speeddemon

    speeddemon Guest

    Stock is at a four year low. $62.26. Our companies fuel bill is double YTD that it was last year. We can expect layoffs, cut routes, and accidents and injury frequencies to go up. Id bet money on it. Over allowed hours are going to be scrutinized. My manager said they had a conference call this afternoon about this. He said in a nutshell, the driver group is screwed. Thats ok, 9.5 and harrasment greviences pay well.
  2. pkg-king

    pkg-king New Member

    We'll see. I believe we are going to get take a hit due to fuel costs but don't believe there will be any cut routes or layoffs.
    Lasted edited by : Sep 18, 2014
  3. Overpaid Union Thug

    Overpaid Union Thug Well-Known Member

    Agreed. People are still driving around every where despite the gas prices (actually traffic seems heavier lately) and still spending money online.
  4. 25yrvet

    25yrvet New Member

    Additional fuel surcharge in the future???

    I've got people ordering stuff like crazy instead of driving 70 miles to the nearest Walfart.

    It sure would cut our miles down if Mr EDD could dispatch with some common sense.

    BLACKBOX Life is a Highway...

    I don't think UPS can keep going without making adjustments to the slowing economy. Company's are either consolidating or downright closing their doors. This is only the beginning of what will be some kind of drastic action taken to somehow deal with what could be $5.00 gas by the end of summer for regular.

    I already had one customer complain to me about the $9.00 gas surcharge for a small package. Purse strings are being tightened and they will squeeze every ounce of productivity out of you.

    Don't believe UPS won't ask the union for concessions or face system wide layoffs. The stimulus package was nothing but a temporary distraction. Sock money away if you feel you don't have the seniority to get you through times you're not getting your hours.
  6. speeddemon

    speeddemon Guest

    Amen to that. Our EDD dispatch caused me to run 180 miles the other day on a route that should have ran 110. No common sense whatsoever.
  7. feeder53

    feeder53 ADKtrails

    I believe we will see some adjustments, but I would like top think that because of the standing of UPS, and the fact that all package delivery companies are all paying the same for fuel....UPS may be able to pull ahead if they do it right.
  8. But Benefits Are Great!

    But Benefits Are Great! Just Words On A Screen

    I asked this on another thread, but received no response;

    As a public company, P&L statement for UPS is public. Anyone know of a link that shows P&L broken down further, detailing expense lines?

    I'd like to see the fuel numbers.
  9. UpstateNYUPSer

    UpstateNYUPSer Very proud grandfather.

    BBAG, I know that you can review financial statements on but I don't think that they will be as detailed as you may like. I don't recall seeing a Profit and Loss statement on there but I could be wrong.
  10. moreluck

    moreluck golden ticket member

    I sometimes don't understand the strategy......I'm assuming theres IS a strategy.

    UPS warns of lower earnings than expected and BOOM, they take a big hit. Then they'll do the actual reporting on July 22 and BOOM they'll take another hit.

    Why can't they just shut up 'til it's time to do the actual reporting and take one substantial hit and be over with it ??
  11. But Benefits Are Great!

    But Benefits Are Great! Just Words On A Screen

    Because as a public company, they have the responsibility to make an announcement now if they know expectations are way off. Believe me, they didn't WANT to do it, they MUST do it, being a publicly traded company.

    If Wall Street expects earnings of a buck a share, and management knows that this is way off (higher or lower) they MUST make an announcement.
  12. UpstateNYUPSer

    UpstateNYUPSer Very proud grandfather.

    I am by no means an expert on the stock market but I believe that publicly traded companies have an obligation to its shareholders to provide earnings guidance, whether positive or negative, so that these shareholders can make an informed decision as to whether to hold on to their shares or to sell them. This earnings guidance can also be used by potential shareholders to decide whether they wish to purchase shares of this stock or not. I have used such guidance in the past, particularly when I purchased shares of Sirius Satellite Radio on speculation that its merger with XM would be approved. (BTW, I am still waiting.)

    I can see your point and I agree, we will get hammered again on 7/22, but I believe that disclosing earnings guidance is a requirement if you are a publicly traded company.
  13. Leftinbuilding

    Leftinbuilding Active Member

    I sold all of my UPS stock a few weeks ago. Sold it a little over $69.00 per. Looks like my timing was good. Just got tired of the stagnation.
  14. rwsmith67

    rwsmith67 New Member

    Left, Did you get tired of the dividend checks too??
  15. UpstateNYUPSer

    UpstateNYUPSer Very proud grandfather.

    Hopefully he did the smart thing and reinvested them and bought more shares which he has now sold.
  16. But Benefits Are Great!

    But Benefits Are Great! Just Words On A Screen

    Sell Short
  17. UpstateNYUPSer

    UpstateNYUPSer Very proud grandfather.

  18. But Benefits Are Great!

    But Benefits Are Great! Just Words On A Screen

    Sell Short - Way to make $$$ on a stock in decline. Selling first, buying back (covering) at a later date, when stock is lower.
  19. UpstateNYUPSer

    UpstateNYUPSer Very proud grandfather.

    I got that part but what does that have to do with Leftinbuilding reinvesting his dividends and buying more UPS stock. Besides, you can't buy short through payroll deduction or through the SMA on the 401K. You would have to have your own brokerage account to do that.
  20. But Benefits Are Great!

    But Benefits Are Great! Just Words On A Screen

    I apologize. I will stop making comments that do not clearly contribute with the flow of the thread.